Parents: children’s inheritance more important than enjoying retirement

Family Law|April 3rd 2015

A majority of parents prioritise a larger inheritance for their children over an enjoyable retirement, a new study suggests.

In a survey of 2,048 British adults conducted by polling organisation Populous, many parents said they actually planned to cut down on spending in their retirement. The reason given was to maximise their children’s potential inheritance.

The study found that the issue of inheritance was important to parents, as 81 per cent said they hoped to leave something to their children. Only a quarter of those surveyed said they were not concerned about it.

By contrast, three quarters of respondents younger than 50 said they would rather their parents enjoy retirement than leave them any money.

As people got older, the importance they placed on leaving an inheritance began to weaken, the survey found. Researchers posited that this could be a response to the reality of their own financial situations or the realisation that their children are not financially dependent on them.

The research was carried out on behalf of insurance company Saga Personal Finance. Alex Edmans, the firm’s head of retirement, said that parents “should not feel obliged to leave an inheritance” to their children.

Those who do want to leave something should first “make sure they have enough to fulfil their retirement goals and have something left for later life care”, he added.

Photo by Arkansas State Library via Flickr

Author: Stowe Family Law

Comments(2)

  1. Samari says:

    I pray one day decent people decison to allow families and immediate children to prospor

    so that like many countries , including Australia, IHT to be only for cousin and not for immediate children

    the 40% and thereshold of £325K is nonsense as clearly it shows the law makers wish the people to deceive the system by all kinds of expensive plans

    Everey decent person should consult and place pressure to remove IHT and if it is to be kept to have thershold for London 50 mile radius raied to £12 Million .

    Is there any organization who campaigns against this

    Best wishes

    Samandar Samari

  2. festus says:

    It is always in every parents best interest that their children live a better live than they did, hence why they sacrifice their future for them. I would also do the same for mine.

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